Loans.org Goes Back to the Future with Mortgage Rates Infographic

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The latest loans.org infographic details how much interest a homebuyer would pay on a $300,000 mortgage taken out between 1971 and 2013.

Rancho Cucamonga, CA (PRWEB)May 17, 2013

On November 21, 2012, 30-year fixed rate mortgage averages reached an all-time low of 3.31 percent. We may never see rates like that again, but hopefully we’ll never see the rates of the 80s and 90s either.

Consider this: if you bought a $300,000, four bedroom, four bathroom home in 1991, you would have had a 9.25 percent interest rate and paid $2,468 a month. That same home would have cost you $3,503 in 1982, when the interest rate was a sky high 16.7 percent.

If you bought that same home in 1985, when the interest rate was 12.03 percent, you would have paid over $800,000 in interest over 30 years, enough to buy 32 Deloreans.

That same home today, under a 3.5 percent interest rate, would cost you almost half the interest, enough to buy over 600 brand new iPhones.

To put it another way, today’s $1,347 monthly payment would be almost half of what you would have paid 22 years ago, all thanks to today’s low rates.

loans.org is a leading lending authority website that covers financial news, produces informative articles, and answers frequently asked questions. In addition to providing lending-related information, loans.org also hosts a variety of free online application forms for prospective borrowers to use when applying for loans.